NZX To Launch NZ Milk Price Futures And Options

NZX has received formal approval from the Financial Markets Authority and the Reserve Bank of New Zealand for its proposed milk price futures and options contracts, expected to launch in May 2016. The futures and options contracts are designed to address growing demand from producers and purchasers of milk products wishing to manage risk relating to price fluctuations. For example, both contracts can help New Zealand dairy farmers to mitigate the financial risks associated with a variable milk price. NZX Head of Markets Mark Peterson commented: “This is an important milestone in the development of commodity risk management tools needed ... READ MORE